The madness that was the Car Allowance Rebate System, a.k.a. C.A.R.S., better known as Cash for Clunkers has officially, maybe, definitely ended and we have photos of the aftermath.
The rules were confusing, the monetary risks were (are) all on the dealer, the complaining in the the sales mangers office was loud…and then we started selling Hondas, and then some more and then the government's money ran out, then the government gave more money, then we really started selling and selling and then at 4:13 p.m. on Saturday, August 22, the program ended with one announcement over our loud speaker by Used Car Manager, Matt Nergart.
"If you are here to take advantage of the Cash for Clunkers Program…we are sorry, but due to the huge volume of deals we will not be accepting any more Cash for Clunker deals after 4:30 pm." There were easily 100 people in the showroom, but you could hear a pin drop Nergart recalls.
At that point there was a stack of 30 deals still to be delivered and while our store hours state that we close at 5:00 p.m. on Saturdays, we knew this Saturday would be an exception. It wasn't until a stroke before midnight that Finance Manager Kevin Shoemaker turned the lights, locked the front and waved goodbye to the last of 49 customers to drive in in a clunker and home in a Scott Honda.
All tolled Scott Honda did 192 Cash for Clunker deals, with an outlay of over $700,000 total. We have been paid on 10 clunkers to date, which from what we are hearing is actually really good.
"The program had its quirks, but as long as every dealer gets paid on properly submitted deals, it will have been a huge success," says Vice President, Duke Scott. "But if two months go by and dealers are still waiting for funds or have been refused funds, all the good will created by this program will be destroyed, just like those clunkers."
Nice story, Dug. You were fortunate to live through this historic event, for which you can tell tales to your kids and grand kids… as they continue to pay the tab.
In the end Scott Honda received payment on 192 out of 192 cash for clunkers and we have also cleared out all of Clunkerville. Thus closing one of the more interesting chapters in the automobile industry in recent times.